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Here’s why Trivago CEO believes travel will be even more expensive

Here's why Trivago CEO believes travel will be even more expensive

Aussies are keener than ever to hop on a plane and escape what has been a pretty rough past few years.

Almost 57 per cent of Aussies are planning a getaway in the next 12 months which is up 49 per cent from December, according to Finder’s Consumer Sentiment Tracker.

However, travel at the moment comes with a heftier than usual price tag.

KAYAK’s data shows the average return economy international flight price in Australia based on flight searches in July (between July 1-18) was approximately $1761 – an increase of about 14 per cent compared to the same period in May (between May 1-18) .

Meanwhile, the consumer price index (CPI) July report shows plane tickets have soared 27.7 per cent on a year-over-year (YoY) basis.

And sadly it is a tendency likely to stick around for a bit longer, according to Angus Kidman, travel expert at Finder.

“Sale fares are definitely higher than they were pre-pandemic. Tiger used to regularly offer $9 domestic fares,” Mr Kidman said.

“We won’t see that again. Jetstar has offered a handful of $22 fares this year, but only outside of peak periods and for a tiny number of seats.”

He said Virgin’s floor in sales is now generally $49, and for Qantas it’s rare to see any sub-$100 flights.

“I don’t expect we’ll see much change to that in 2022. The arrival of new competitor Bonza may create a little price pressure, but many of its routes are regional and I’m expecting that it will be charging well over $100 for a seat most of the time.”

‘On the rise’

Trivago (TRVG) CEO Axel Hefer believes “costs will continue to go up”, attributing it to staffing shortages and labor costs.

“You see a fundamental shortage of people in travel and hospitality, and the reason is that a lot of companies have actually reduced their staffing during the pandemic,” Mr Hefer told Yahoo Finance.

“[Companies] are now struggling in very tight labor markets to staff up again. So they will have to pay up, and that cost will be passed on.”

Flight cancellations

The Bureau of Transportation Statistics quantified that 88,161 flights have been canceled so far this year, with many being attributed to staffing issues.

Virgin Australia, Qantas, and Air New Zealand were all named among the global airlines with the current highest cancellation rates, while Singapore Airlines was noted as the carrier with the lowest cancellation figure.

The new data, compiled by aviation analytics company Cirium, looked at flight data from 19 major airlines in the three months to July 26 which revealed Virgin Australia to have one of the highest cancellation rates at 5.9 per cent.

Air New Zealand and Qantas were also named in the top five airlines with high cancellation rates, at 3.7 and 3.3 per cent respectively.

Singapore Airlines, which remains the top international carrier in Australia, was dubbed the most reliable airline, with a 0.8 per cent cancellation rate.

Notably, of all 19 studied carriers, Virgin boasts the smallest international network, possibly skewing the data, according to Australian Aviation.

Australia’s worst month for flying

Australian airlines recorded their “worst ever” month in June for flight delays and cancellations with a total of 5.8 per cent of all flights canceled – nearly three times more than the long-term cancellation average.

There were 63 per cent of all flights arriving on time in June, with 61.9 per cent departing on schedule, the Bureau of Infrastructure and Transport Research Economics (BITRE) report found.

BITRE said these figures mark “the worst” the industry has seen since records began in November 2003.

The report looked at delays and cancellations across all major Australian airports in the month of June.

The severe disruption was fueled by staffing shortages, staff sicknesses, mid-year school holiday travel surges and severe weather events, including flash flooding throughout NSW.

Qantas recorded the highest percentage of cancellations at 8.1 per cent during the month, followed by QantasLink, Virgin Australia, Jetstar, Virgin Australia Regional Airlines and Rex Airlines.

Qantas recorded just over half of their airlines arrived on time in June, at 59 per cent, while Virgin achieved the highest level of on time departures among the major domestic airlines at 60 per cent.

A Qantas spokesperson told NCA NewsWire the flight delays and cancellations were not the kind of performance that they were delivering pre-Covid.

“A rise in Covid and other illnesses among airline crew as well as the tight labor market led to flight disruptions for all domestic airlines in June,” they said.

“We had rostered additional crew on standby which helped lessen the impact of Covid-related crew absences and meant 85 per cent of our domestic flights for the month departed within an hour of schedule.”

“Flight cancellations in July were lower than they were in June, call center wait times are now better than they were pre-Covid and our mishandled bag rates are close to what they were before the pandemic.”

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Qantas engineers to hold one-minute work stoppage

Qantas engineers to hold one-minute work stoppage

More than 700 aircraft engineers from Qantas, Jetstar and Perth-based FIFO subsidiary Network Aviation will conduct a “one-minute work stoppage” in August.

The Australian Licensed Aircraft Engineers’ Association (ALAEA) federal secretary Steve Purvinas told members in a meeting on Wednesday that the majority had voted in favor of industrial action.

Airline engineers are asking their employer for a 12 per cent pay rise to make up for stagnant wages the last four years.

The union’s first action will be a one-minute stoppage across all airlines sometime in late August.

“The first action will be a token one,” Mr Purvinas told members.

“A one-minute stoppage of course is not going to harm any airline and also demonstrates our willingness to negotiate in good faith and not try and harm the airline.”

Mr Purvinas said the token stoppage aimed to give the airlines an opportunity to come to the table.

“We do want to give some time for resolution of these matters before we have to do anything that may even be close to disrupting the public,” he said.

The strikes come at a difficult time for Australia’s national flag carrier, as the aviation industry struggles with staff shortages that have led to flight cancellations, delays and missing luggage.

If the stoppage does not motivate negotiations, the union plans to notify the airline of more work stoppages.

During these stoppages, the union has offered to provide “alternative labor provisions” to the airline.

“We want to assure the public that we won’t be harming their services,” Mr Purvinas said.

“Our target is the airlines who are not negotiating in good faith.”

ALAEA members voted against using overtime bans to avoid “exacerbating” already challenging conditions in the industry.

A Qantas spokesman told the NCA NewsWire in July that the 12 per cent pay rise was something the airline “simply can’t afford”.

They said Qantas had a policy of 2 per cent annual increases for all employees across the Group.

The airline has a history of not holding back when it comes to dealing with union industrial action.

Qantas chief executive Alan Joyce infamously grounded the airline during a dispute with the ALAEA and two other unions back in 2011, leaving 200,000 passengers stranded without notice.

Qantas was contacted for comment.

Read related topics:Perth Qantas

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Qantas increases interval between domestic and international from 60 to 90 minutes to reduce baggage mishandling

Qantas increases interval between domestic and international from 60 to 90 minutes to reduce baggage mishandling

Qantas has announced a major change impacting passengers catching a domestic flight before jetting off overseas.

The national carrier has been looking at ways to deny issues around staff shortages which has seen the rate of mishandled bags almost doubled to nine in 1000, up from five in 1000 pre-COVID, The Australian reported.

Passengers connecting from Qantas domestic to international flights in Sydney and Melbourne will have their minimum transfer times extended from 60 minutes to 90 minutes from August 21 in a bid to avoid baggage issues.

The additional “buffer” is considered sufficient for the bags to be successfully transferred without being mishandled amid the current staffing shortage and sickness rates which are 50 per cent higher than normal.

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Customers with an existing booking where the transition between a domestic flight to an international service is less than 90 minutes will be transferred to an earlier domestic flight without charge.

Passengers who will have their flight changed under the new interval will be notified by the airline which said the “vast majority” of travelers would get a flight on the same day.

Qantas CEO Alan Joyce said the measure was to help improve operational performance which had dipped due to the recent staff shortages.

“While there are lots of good reasons why, the simple fact is our operational performance hasn’t been up to the standard our customers are used to, or that we expect of ourselves,” Mr Joyce said.

“We are taking additional steps to get back to our best, which have been shaped by feedback from our frontline teams who are doing a phenomenal job under tough circumstances.

“Bringing our operations back to pre-COVID standard and maintaining our focus on safety is our absolute priority.”

The decision comes just days after it was reported Qantas asked senior executives and other office workers to fill in as baggage handlers amid the staff shortages.

The Australian reported on Monday that the national carrier had called on at least 100 managers and executives to opt into a short-term arrangement over the next three months.

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Qantas admits airline has not met ‘customer expectations’ as it asks senior executives to work as baggage handlers

Qantas admits airline has not met 'customer expectations' as it asks senior executives to work as baggage handlers

Qantas has admitted its operational performance has not met public expectation as it confirmed its contingency plan to cope with the surge in demand over the next three months.

The Australian on Monday morning reported the national carrier had asked senior executives and other office workers to fill in as ground handlers as the business ramps up its operations.

Chief Operating Officer Colin Hughes in a note to staff called on “at least 100 managers and executives to opt into a short-term arrangement over the next three months.”

“The high levels of winter flu and a COVID spike across the community, coupled with the ongoing tight labor market, make resourcing a challenge across our industry,” it read.

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“There are a range of strategies to get our performance back to where we and our customers expect it to be. While this includes recruiting thousands of new team members into our operation and ongoing recruitment by our ground handling partners, we need to build more resilience into our operation now.

“Establishing a short-term contingency team will help do this.”

The note goes on to say Qantas is seeking expressions of interest from managers and executives to join the contingency program.

“People who respond to the EOI will be trained and rostered into the ramp environment at Sydney and Melbourne airports,” Mr Hughes said.

“These people will support our ground handling partners, who are managing the Qantas operation, over a three-month period from mid-August.”

A Qantas spokesperson on Monday admitted the airline’s recent performance had not been up to par as it confirmed Mr Hughes’ note.

“We’ve been clear that our operational performance has not been meeting our customers’ expectations or the standards that we expect of ourselves – and that we’ve been pulling out all stops to improve our performance,” the spokesperson said.

“As we have done in the past during busy periods, around 200 head office staff have helped at airports during peak travel periods since Easter.

“While we manage the impacts of a record flu season and ongoing COVID cases coupled with the tightest labor market in decades, we’re continuing that contingency planning across our airport operations for the next three months.”

The revelation comes a year after the Federal Court ruled that the national carrier breached the Fair Work Act by outsourcing about 2,000 ground crew jobs to third party contractors in the middle of the pandemic – with Swissport taking on the majority of the work.

TWU National Secretary Michael Kaine hit out at Qantas for its latest attempt to fix staffing problems.

“It’s a shocking insult that nearly 2,000 experienced workers are forced to sit at home because their jobs were stolen from them while corporate ring-ins are being dragged to the baggage rooms to help ease airport chaos,” he told SkyNews.com.au.

“This isn’t the brainwave Qantas management seems to think it is.

“Introducing inexperienced office workers into specialist aviation workplaces will only increase the likelihood of serious injuries and safety incidents on site, throwing airports into further disarray.”

In the note, Qantas told staff they would be fully trained to “safely” carry out the required functions.

“During your time in the contingency program, you’ll be an embedded resource within the ground handling partners. This means you’ll receive a roster, be scheduled to operate and be supervised and managed in the live operation by our ground handling partners, ” Mr Hughes said.

The note also listed the key parts of the role which included loading and unloading the aircraft and driving a tug.

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Qantas moves managers and executives into baggage handling

Qantas moves managers and executives into baggage handling

Qantas senior executives and managers will step down from their usual roles to pitch in as ground handlers, as the airline continues to suffer from major staff shortages.

The shake-up is part of an extraordinary contingency program expected to last three months and help the airline get back on its feet before the busy summer holiday period.

While the airline has rehired close to 2000 staff after letting about 1700 ground handlers go during the pandemic, it has struggled to stay on top of baggage, flight delays and cancellations.

Chief operating officer Colin Hughes told staff that during the contingency program, they would be an “embedded resource within the ground handling partners”, Australianreports.

“This means you’ll receive a roster, be scheduled to operate and be supervised and managed in the live operations by our ground-handling partners.”

Staff participating in the program would be required to sort through and scan bags, and drive airport tugs to carry luggage onto planes and between terminals.

“It’s our singular company focus to support our teams to get our operation back to where it should be and provide our passengers the experience they expect from the airline,” Mr Hughes said in his note to staff.

A Qantas spokesperson said the measures were introduced as a result of staff shortages caused by flu and Covid, as well as the tight labor market.

“We’ve been clear that our operational performance has not been meeting our customers’ expectations or the standards that we expect of ourselves – and that we’ve been pulling out all stops to improve our performance,” they told news.com.au .

“As we have done in the past during busy periods, around 200 head office staff have helped at airports during peak travel periods since Easter.

“While we manage the impacts of a record flu season and ongoing Covid cases coupled with the tightest labor market in decades, we’re continuing that contingency planning across our airport operations for the next three months.”

Qantas is filing an appeal in the High Court after the Federal Court found it was in breach of the Fair Work Act for sacking almost 2000 staff during the pandemic.

It has yet to fully staff its operations since domestic and international travel summarized following the Covid shutdown period.

Qantas’ reputation has suffered immensely in recent months with furious customers complaining about delayed and canceled flights, missing luggage and extreme customer service wait times.

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University of Wollongong student sees credit card go on $3200 shopping spree, posts bill on Facebook

University of Wollongong student Kirsten McNeice (pictured) has revealed how her credit card was stolen before the thief went on a spending spree

Confronted with someone else’s wallet, most would like to think they’d drop it off to the nearest police station with the money and cards left inside.

But for one woman, the temptation of a wild night out on the town, an all-expenses-paid trip to a sex shop and pricey Qantas flights proved too strong.

University of Wollongong student Kirsten McNeice revealed her credit card was stolen and used for an extraordinary range of purchases, including bras, booze, food and sex toys.

Ms McNeice wasn’t aware of the woman’s weekend of paywaving until she looked at her bank statement earlier this week – something she now urges everyone to do more often.

The unknown woman spent more than $3,000 dollars on Ms McNeice’s card, according to bank statements seen by Daily Mail Australia.

She appeared to have made multiple trips to a popular Wollongong club, splashing cash around each time.

University of Wollongong student Kirsten McNeice (pictured) has revealed how her credit card was stolen before the thief went on a spending spree

University of Wollongong student Kirsten McNeice (pictured) has revealed how her credit card was stolen before the thief went on a spending spree

The woman had multiple innings' at Mr Crown (pictured) in Wollongong and spent nearly $400 at the venue

The woman had multiple innings’ at Mr Crown (pictured) in Wollongong and spent nearly $400 at the venue

The thief’s daytime trips to Mr Crown, a public bar and nightclub, were broken up with visits to a Shellharbour bra and lingerie store and a $200 manicure.

She also ensured she would have a quick getaway when her hijinks outgrew the small industrial city – spending $876 on a Qantas ticket.

An $876 ticket would enable her to go to almost anywhere within southeast Asia and the Pacific, according to Qantas’ current offers.

The unknown woman went on a shopping spree around the retail district of Wollongong (pictured)

The unknown woman went on a shopping spree around the retail district of Wollongong (pictured)

Ms McNeigh posted the bank records (pictured) on social media to the excitement of many University of Wollongong students

Ms McNeigh posted the bank records (pictured) on social media to the excitement of many University of Wollongong students

The unknown thief then parted at Mr Crown again, appearing to have ordered generously at the bar.

After leaving the pub, the woman bought a dinner at a local kebab shop with the $27 card swipe suggesting she opted for multiple kebabs or ‘snack packs’, perhaps to share with her friends.

The woman, at some point, retreated home for the evening, reloading for a Tuesday morning visit to the shops.

The mystery shopper made two matching purchases at Myer, a quick trip to Chemist Warehouse, and dropped a cool $80 at pajama store Peter Alexander.

The Wollongong grifter made an online fruit purchase before trundling down to a local Boost Juice, perhaps still craving a fruity hangover fix.

She then trekked to a quieter part of Wollongong, spending more than $400 at a discreet sex store, the Adult Warehouse, in the west of the city.

After that, her spending spree appeared to come to an abrupt stop.

Ms McNeice is already on track to receive her money back she said, but the culprit is still on the run.

‘Now it’s just a matter of finding her,’ she told Daily Mail Australia.

‘Thirteen rounds of drinks for your girlfriends at Mr Crown followed by a snack pack at King Kebabs? Respect.’

Ms McNeice said she believes she already had the name of the woman behind the in-and-out spree after asking a few of the businesses where the cash was spent.

Purchases made at a discreetly named company were actually for this Adult Warehouse store in the industrial area of ​​Wollongong

Purchases made at a discreetly named company were actually for this Adult Warehouse store in the industrial area of ​​Wollongong

Ms McNeice has left a statement with the police as they try to find the culprit.

Students in a local University of Wollongong Facebook group have followed developments in the case with interest, with one joking the episode needed to be a true crime podcast.

Ms McNeice had posted the expense sheets originally to the group, allowing the others to follow the inglorious money trail for themselves.

A later post in the group spurred a flurry of messages guessing at where the mystery woman would be by then.

‘She’s either at Mr Crown or Bras and Things, or on her way back to Mr Crown from Bras and Things,’ joked another.

‘Damn, did she get around… she wouldn’t have gotten that far on my bank card that’s for sure.’

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Perth woman booted off Jetstar flight for wild suitcase issue

Perth woman booted off Jetstar flight for wild suitcase issue

Ready to begin the five hour flight from Sydney to Perth, Clare Vertannes had her Apple Airpods and noise-cancelling headphones on when she was approached by a Jetstar flight attendant.

At first, the actress and events co-ordinator thought she was being upgraded to first class.

Unfortunately, reality was less desirable.

“I was sitting there minding my own business, and then she was like: ‘Can you please come with me?’” Ms Vertannes told news.com.au, speaking of the flight she took in April 2022.

“I was getting really excited because it genuinely didn’t cross my mind [that I was about to get kicked off the plane]. It’s wasn’t until we walked off the plane, that I started asking questions.”

‘A very dangerous item’

Once her and the flight attendant were on the tarmac, the Perth woman was informed that staff had found a “very dangerous item” – a battery pack – in her checked luggage.

While portable chargers containing a lithium ion battery are banned from check-in baggage, Ms Vertannes was certain she had not packed hers in her suitcase.

“I held up my battery pack and told them I didn’t have a second one,” she said.

“The flight attendants that kicked me off the plane were really rude. I understand they have jobs to do but they didn’t even give me the time of day to explain.

“I asked them to call someone to confirm because there was nothing in my suitcase but I was told to go to baggage claim.”

At the same time she was told she would miss her existing flight and she’d have to pay for her next one.

She claims the flight attendant told her she wouldn’t be reimbursed “because you’ve held up everyone on the current flight”.

On her way to baggage claim, Ms Vertannes began crying.

“It was like I was going to the principal’s office. It was so terrible,” she said.

However, she remembers the surreal moment when she realized the airport had made a terrible mistake. As she was walking to the baggage claim, she claims to have overheard a staff member on the phone.

“She was like: ‘Why would she do that? What’s wrong with you people? I told you to wait for confirmation,’” said Ms Vertannes.

“She then saw us walking towards her she just stops and says into the phone: ‘I think the lady you’ve kicked off is in front of me and she is not impressed.’”

A missed flight and a miscommunication

That’s when she was told that there had been “a miscommunication”. While airport staff had initially found something dangerous in her bag, it turned out to be a false alarm.

“There was nothing in my suitcase. I was actually hoping that there had been something wrong with my luggage, especially after all this drama,” joked Ms Vertannes.

“I said look: ‘Thank you for your apology but I need to get home. Can I get back on my flight now?’”

However, in the time Ms Vertannes had reported to baggage claim, her original flight had taken off. She was then told the next flight wouldn’t be until tomorrow.

While Ms Vertannes said the airline initially refused to pay for another flight that day, she was determined to return to Perth.

“I literally just sat there and stared at her. I know the airport staff was doing their best but I knew that nothing was going to get done unless I just sat there,” she said.

After “an hour or two”, she was approached by a Qantas staff member, who are the parent company for Jetstar. In another twist of events, she had been offered a flight for that day free of charge, however it was scheduled for 8pm, which at that point was around eight hours away.

Looking back at her airport debacle, Ms Vertannes said she was surprised by the lack of services given to her by the airlines.

In a statement to news.com.au, Jetsar says they “sincerely apologize for any misunderstanding and are looking into what took place”.

Much to be desired

Despite the “miscommunication,” she claims she was told she was unable to check in her luggage early. While she decided to meet up with her boyfriend from her back in the Sydney CBD, she was told that she would have had to pay $50 to store her luggage from her at the airport.

Another blow came as she was sitting in her Qantas seat.

“I’m sitting on the Qantas flight and I get an email from Jetstar. It says: ‘thank you so much for your purchase of a pie. That’s $10,’” she said.

“Someone on my flight had charged on foot to my seat and I got that invoice. I was done.

“I remember getting that on the flight and not even being surprised.”

The experience left much to be desired.

Now, in the four months from the ill-fated flight, Ms Vertannes says she’s finally ready to talk about her it.

“When I got back I genuinely needed to recover from the trauma,” she said.

Sharing her experience on TikTok, Ms Vertannes amassed more than 67,100 views, 5100 likes and 285 comments.

Despite this, she hasn’t been thrilled with the airline’s response.

“The flight really upset me. It had an effect on my mental health and it was really stressful. [I asked for] two return flights to a destination around Australia,” she said

“I wanted some form of compensation and I thought I was being quite reasonable.”

To date, in documents seen by news.com.au, Ms Vertannes has been given a $116.22 cash refund and a $350.76 voucher which Jetstar says aligns with the purchase methods used to buy her flight from Jetstar to Qantas.

Later, when she tried to get reimbursed for the $50 taxi fare into the city, she was told they were “unable to provide you with any compensation nor cover your out of pocket expenses”.

“I kept on being in all these phone calls but everything just got too annoying so I took the voucher,” she said.

“But all I wanted was just some compensation and to not be left on the phone for two hours. It’s not that hard.”

Read related topics:PerthSydney

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Qantas, Virgin apologise as Broome records highest airport delay percentage in Australia

Qantas, Virgin apologise as Broome records highest airport delay percentage in Australia

Flights leaving Broome have had the highest percentage of delays in the country amid the worst national figures recorded since delay-related data began being collected.

The monthly Bureau of Infrastructure and Transport Research Economics (BITRE) report measures flight delays and cancellations along routes in Australia with 8,000 passengers or more per month.

The latest edition collating statistics from June found a little more than 30 per cent of flights headed from Broome to Perth left on time — the highest percentage of delays for any route in the country.

The figure was less than half the national average of 62 per cent for the month, which according to the report was the worst figure recorded “since recording commenced in November 2003”.

Virgin Australia mainline saw the worst delays for the period — none of the carrier’s 14 flights from Broome to Perth left within 15 minutes of their expected departure time.

Virgin Australia Regional also suffered delays, seeing only 38 per cent of its 50 flights scheduled to depart to Perth leaving when expected.

But passengers aboard Qantas and QantasLink flights also faced delays, with only 22.2 and 31.5 per cent of each carrier’s flights leaving Broome for Perth on time.

In total there were 11 cancellations of flights between the two cities — 10 for QantasLink and one for Virgin Australia Regional.

A man stands near a suitcase, looking at a map in front of a sign that says "Broome International Airport".
Almost 70 per cent of flights leaving Perth from Broome were delayed, according to the latest figures.(ABC Kimberley: Andrew Seabourne)

Tourists and locals affected

The cancellations and delays have left many travelers with nowhere to go during the busy dry season, which often sees the town’s hotels booked out months in advance.

In a bid to help stranded local passengers have been forced to step in and house them until they can board another flight, with a group of volunteers coordinating their efforts.

A smiling man with short gray hair, wearing a dark shirt.
Broome Shire President Harold Tracey says his staff have been affected by the delays.(ABC Kimberly)

But while the problems at the airport have affected tourists, Broome Shire President Harold Tracey said they were affecting residents too.

“Some of my … elderly staff members have had appointments to go down to Perth and have check ups and MRIs and so forth,” he said.

“The day before the appointment flight … [the flights are] getting canceled and then having to cancel the appointments.

“We all know how long the waits are when trying to get an appointment again.”

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Qantas flights delayed across Australia after nationwide IT glitch

Qantas flights delayed across Australia after nationwide IT glitch

Qantas passengers were left waiting on tarmacs after a nationwide computer glitch caused lengthy delays on Sunday afternoon.

The technical issue grounded plans for about 90 minutes from 2.30pm WA time while the airline frantically worked to fix the problem.

At least three flights at Perth Airport were delayed for more than one hour however Qantas assured the problem was minor and had since been resolved.

According to Qantas, cabin crews told waiting passengers, plans couldn’t take off until the computers were once again up and running.

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